RBI expected to cut repo rate by 25 per cent

Most bankers expect the Reserve Bank of India (RBI) to slash its key repo rate – the rate at which the central bank lends to commercial banks – by 25 basis points, while a fraction of the bankers are anticipating even a bigger cut. The RBI is all set to announce its decision during the much-awaited monetary policy review meet today, January 29. A recent poll of 18 banks, 80 per cent of the bankers predicted that the RBI would cut its key repo rate by 25 basis points from the current 8 per cent, while 15 per cent of the bankers said they anticipated a bigger 50 bps cut. read more